NEW DRAFT IRP GAME-CHANGER FOR PROVINCE
29 August 2018
MEC for Economic Development, Environmental Affairs and Tourism Lubabalo Oscar Mabuyane welcomed the release of the long-awaited draft of the national reviewed Integrated Resource Plan (IRP) earlier this week.
“The policy is a game changer for the province and will help it to spearhead substantial job creation and investment. The effect is that it could ensure the province comes good on its aspiration to maximise its already-significant position in the renewable energy and gas sector,” he explains.
The national policy, which provides clear and succinct certainty on how South Africa will generate the additional capacity it requires over the next decade, points to the influential role for renewable energy and gas which for the province would mean liquid natural gas (LNG).
“What’s exciting about this new way forward is that this policy could open the floodgates for even greater growth for the province. We are open for business and ready – technically, institutionally and in terms of location processes,” he explains.
Close on 75% of the additional capacity that is being planned will come from solar, wind and gas with the remaining going to hydro and coal, much like the trend globally where more renewable power capacity has been added than coal, nuclear and gas power over the past few years.
Mabuyane explains that the proposed additional energy generation mix affirms Eastern Cape’s current energy footprint and the province’s sustainable energy strategy.
“In the case of renewable energy, just over 50% of the additional capacity will come from wind and solar. In this respect, the Eastern Cape has significant resources as well as an impressive existing footprint with over 16 wind farms and one solar farm.
In the case of gas energy – which is to contribute almost 23% of this new energy – the IRP points to the likelihood of a 1,000 MW gas-to-power project at Coega whose state of the readiness is well-known.
“The province has been preparing for this development for some years and consequently we have experienced a wave of real energy development recently.”
Mabuyane says the good news for the province is that the policy is unashamedly underpinned by a least-cost” philosophy while supporting environmental imperatives.
He says that in the case of solar energy in South Africa, the cost of power has been cut by over 75%.
“For the province, the low cost energy mix inclines it towards renewable energy and gas which is, in most cases, more rurally based and consequently could hold the key to remapping key urban-rural economy. When this happens, it will bring large investment, and consequently jobs, to small towns and rural areas.”
But it also means more socio-economic investment. In the first four procurement rounds, the awarded farms investment is estimated at R33 billion where R3,8 billion socio-economic investments are made into neighbouring communities over 20 years.
Other benefits include income for community ownership trusts (R7,4 billion over 20 years). Furthermore, black ownership stands at 34% while the local content footprint is at conservative 45%.
The Department is also supporting the development of the sector with other initiatives such as much-needed skills development, supporting transformation, improving local content in manufacturing, leveraging opportunities between investment and socio-economic outcomes as well as supporting municipalities to optimise their energy development opportunities.
For more information, contact:
Ncedo Lisani | Communication manager
Mobile 066 48 50501
Baphelele Mhlaba | Head of Office
Mobile 083 477 3372
Rising municipal rates and taxes is a hot-button issue – one that negatively affects, not only operating costs and gross rentals, but also makes demand on property management resources.
The draft 2018/2019 budget tabled by the Buffalo City Metropolitan Municipality indicating a 26.8% increase in income from property rates, more than four times that of inflation, does not bode well for attracting further property investments into Buffalo City and has created a business-unfriendly environment, says Gopal.
SAPOA represents companies and organisations in the commercial property sector, and, as Chief Executive Officer Neil Gopal points out, “SAPOA members contribute significantly to the rates base, and we believe it to be in the interest of both ourselves and municipalities across SA to partner on this matter. As a sector, commercial and industrial property wants to contribute in a positive way towards the efficient functioning of municipalities.”
This is in response to a draft 2018/2019 budget tabled by the Buffalo City Metropolitan Municipality, indicating a 26.8% increase in income from property rates, more than four times that of inflation. This, according to Gopal, does not bode well for attracting further property investments into Buffalo City and has created a business-unfriendly environment.
“In terms of the tariff increase, although it is indicated in the draft budget that no increase is proposed, since the values of properties has increased from the previous valuation roll to the new valuation roll, the tariff should have reduced. If the revenue is considered, revenue increased from R1 121 175 to R1 421 961, indicating a 26.8% in property rates. This tariff should be reconsidered,” he says.
SAPOA has been vocal in challenging the legality of increased municipal rates charged to its members. “Rising operating costs threaten the sustainability of net returns across the spectrum of commercial and industrial property investment. Since the sustainability of the property sector is a key focus for SAPOA, we have been vocal in challenging the basis and consistency of municipal rates charged to our members,” says Gopal.
The increases post 2007 have come in a much tougher macroeconomic environment with economic growth currently significantly lower than the preceding 3-4 years. Consequently, the tougher trading environment is making it increasingly challenging for landlords to deal with the additional tax burden. “Not only is this unsustainable, but property owners pass these increases through to tenants, which has a material impact on the health of businesses in the economy.”
SAPOA acknowledges that rates are necessary to fund municipal service delivery and outputs, but these must be levied correctly. “Our Constitution and laws are clear that rates and taxes must be levied in a just and equitable way and this should be done by accurately determining the value of properties. SAPOA is committed to ensuring rates are being levied from a correct base, and not being overcharged. We believe this is essential to further an enabling environment for business and the commercial property sector in South Africa, and to help ensure the sustainability of our economy,” says Gopal.
“Property development activity is likely to be curtailed in favour of cities that are more conducive to property investment. We appeal to the Buffalo City Municipality to reconsider tariff increases for 2019/20 and 2020/21,” says Gopal.
SAPOA has appointed its team of consultants, Rates Watch, to monitor property rates charges and comment on the revaluation.
Taken from press release on Property 24 : www.property24.com/articles/sapoa-concerned-over-massive-rates-increases-for-buffalo-city/27701
Dear Interested and Aﬀected Party,
Herewith a reminder that notice has been given that Eskom Holdings SOC Ltd intend to apply for postponement of the Minimum Emission Standards (MES) compliance time frames for its coal and liquid fuel ﬁred power stations in the
Mpumalanga Highveld Region, Vaal Triangle and Cape Region.
Eskom intends to submit the application for postponement to the National Air Quality Oﬃcer (NAQO) at the Department of Environmental Aﬀairs by 31 March 2019. The following power stations will apply for postponement:
• Lethabo Power Sta on in Vaal Triangle;
• Grootvlei-, Majuba-, Camden-, Kriel-, Matla-, Kendal-, Duvha-, Arnot-, Hendrina- and Koma and
• Tutuka Power Sta ons in the Mpumalanga Highveld Region;
• Acacia Power Station (Cape Town – Western Cape) and Port Rex Power Station (East London – Eastern Cape) in the Cape Region.
INVITATION TO PARTICIPATE IN THE PUBLIC PARTICIPATION PROCESS
Afore submission, the application for postponement is subject to a public participation process. Naledzi Environmental Consultants CC have been appointed by Eskom, as the independent environmental consultant, to prepare the Atmospheric Impact Assessments (AIRs) for the respective power stations and conduct the public participation process. The public participation process will entail two rounds of public consultation. This notification announces the start of the 1st Round of consultation.
Herewith please ﬁnd attached the following documents:
• Interested and Aﬀected Party (I&AP) Notification Letter
• Background Information Document (BID)
• Comments and Response Form (enclosed with BID)
The BID gives an overview of the postponement application and is available for review and submission of comment from 13 August to 11 September 2018. The letter and BID is also available in Afrikaans, English, IsiZulu, Sesotho, Siswati and IsiXhosa from the Naledzi website: www.naledzi.co.za.www.naledzi.co.za.
BACKGROUND DOCUMENT | IAP NOTIFICATION
SCHEDULED PUBLIC MEETINGS
Several public meetings have been scheduled as part of the 1st Round of consultation from 20 – 31 August 2018 and are included in the BID. Please note a public meeting has been scheduled for East London for 28 August 2018 as follows:
Date: 28 August 2018
Venue: East London Museum
Time: 11:00 – 13:00
The email also serves as a reminder of the public meeting which is open for anyone to attend! (We regret there are no job opportunities relevant to the project)
I&APs wanting to obtain further information should register on the project database and/ or provide comments together with their name, contact details and interest in the project on the enclosed Comments & Registra on Form and send it to the contact person indicated below on or before 11 September 2018.
Marissa Botha (Pr.Sci.Nat)
Environmental Assessment Practitioner
for Naledzi Group Pty Ltd
(subsidiary companies include Naledzi Environmental Consultants CC & Naledzi Waterworks)
145 Thabo Mbeki Street, Fauna Park, Polokwane, 0699
Posnet Library Gardens, Suite 320, Private Bag X 9307, Polokwane, 0700
Tel: 015 296 3988
Fax: 015 296 4021
Cell: 084 226 5584
Eastern Cape, 27 August 2018: The South African National Roads Agency SOC Ltd (SANRAL) would like to notify travellers of controlled blasting scheduled to take place on the R72 from Section 3 to Section 4 between Birah River and Openshaw Village, tomorrow, 28 August, and Thursday, 30 August, from 3pm until 5pm both days, weather permitting.
“Motorists are asked to use caution when making use of the road,” Mbulelo Peterson, SANRAL Southern Region Manager said.
SANRAL apologises for any inconvenience caused.
– Ends –